General Overview
Market Cap: $272,840,869,681
24h Vol: $15,609,802,094
BTC Dominance: 40.4%
In the last 24 hours, the cryptocurrency market cap has declined from 295,086,000,000$ to around 272 billlon dollars which is a 23 billion dollar decrease.
The market is currently in the red, with an average decrease ranging from 10-15%. Among top 100 coins, only Decentraland (+2%) and Emercoin (+5%) are in the green.
News
Top headlines that came out in the last day are mostly regarding corporations and major players adopting blockchain technology. Some of the most significant news that fit into that category are the following:
Multiple Russian corporate giants have created a joint venture that plans to develop projects in blockchain and the digital economy, as reported by TASS.
Russian telecom company MegaFon, Gazprombank, government corporation Rostec, and the USM Group have created a joint venture – referred to as MF Technologies (MFT) – that is worth $450 mln and has a 59 percent stake in Russian Internet giant mail.ru.
Argo, crypto mining firm, set to become London Stock Exchange’s first blockchain listing, as reported by Bussines insider.
After launching its subscription service for mining contracts the same day, the company says it plans to hold an IPO, following a $2.5 mln funding round it completed in January of this year.
Argo says it aspires to “democratise” the mining landscape for four altcoins – Bitcoin Gold, Ethereum, Ethereum Classic and Zcash – by renting computing power from an eco-friendly facility located in Quebec.
VeChain (VEN), Singapore-based blockchain startup, and DB Schenker, global logistics provider, have co-developed a blockchain-based supplier evaluation system, according to cointelegraph.
A new decentralised application (DApp) will use the VeChainThor blockchain to score DB Schenker’s third-party logistics partners in China based on collected data – the result being an evaluation for services such as packaging, transportation, and the quality of goods.
Out of news that fit into this category, the story reported by Korea JoongAng Daily regarding South Korean commercial banks launching a blockchain-powered customer ID verification platform is the most significant one.
Korea Federation of Banks (KFB) will launch their “BankSign” identity verification system to be used in both online computer-based and mobile banking. According to Korea JoongAng Daily, the move is intended to replace the 20-year old public verification system that is reportedly notorious for its complexity and inefficiency.
Other significant headlines that are leaning on the side of the general sentiment toward cryptocurrencies are those that came from Germany and Financial Action Task Force (FATF).
The German Federal Government has stated that cryptocurrencies do not pose a threat to financial stability, Cointelegraph auf Deutsch reports today, June 12. Nevertheless, the government sees the need for regulatory measures to control digital currencies.
The Financial Action Task Force (FATF), the international group that combats money laundering and terrorism financing, will start developing binding rules for crypto exchanges in June, a Japanese official familiar with the matter told Reuters June 12.
The new rules would be an upgrade to the non-binding resolutions which were adopted by the FATF in June 2015. The FAFT will consider whether existing guidelines on anti-money laundering (AML) measures and reporting suspicious trading activity are still appropriate, and if they can be applied to new exchanges. The intergovernmental organisation will also reportedly investigate how to work with countries who have moved to ban cryptocurrencies.
Source: cointelegraph.com
Analysis
BTC/USD
From yesterday’s opening at 6853$, the price of Bitcoin has decreased by 5.49% and is currently sitting slightly below 6500$.
Looking at the hourly chart, we can see that the price is now below 0 Fibonacci retracement level and below the unconfirmed baseline support 2. In my weekly update, I have stated that I would expect the price to continue falling down to these levels, as there was no strong support prior that can hold the momentum. I am expecting the price to go even lower to around the 6000$ area which was the lowest point in this correction before we see some short-term trend reversal.
Market sentiment
Hourly chart technicals signal a strong sell.
Oscillators are on sell, and moving averages signal a strong one.
Pivot points
S3 5743.2 S2 6180.5 S1 6362.2 P 6617.8 R1 6799.5 R2 7055.1 R3 7492.4
LTC/USD
From yesterday’s opening at 107$, the price of Litecoin has decreased by 11.12% and is currently sitting around 95$.
On the hourly chart, we can see that the price of Litecoin is in a straightforward downfall and is going to continue moving in a downward trajectory as there’s no support until the wedge support line (blue dotted line) at 85$, so I am expecting interaction with it soon.
Market sentiment
Litecoin is in the sell zone, as indicated by hourly chart technicals.
Oscillators are one sell, and moving averages signal a strong one.
Pivot points
S3 79.310 S2 90.506 S1 95.165 P 101.702 R1 106.361 R2 112.898 R3 124.094
OMG/USD
In the last 24 hours, the price of OmiseGo has declined by 9% – from yesterday’s open at 9.97$ to 9.08$ where it is currently sitting.
Looking at the hourly chart we can see that the price found some support at the current levels, but I don’t believe that it will bounce off of it as selling pressure is strong. Most likely, the price is going to continue its downward movement and will interact with the 0 Fibonacci level much like it did in the case of Bitcoin, and form a double bottom at around 8$ level.
Market sentiment
OmiseGO is in the sell zone.
Oscillators are on buy, and moving averages signal a sell.
Pivot points
S3 7.1564 S2 8.2784 S1 8.6688 P 9.4004 R1 9.7908 R2 10.5224 R3 11.6444
ZRX/BTC
From yesterday’s open the price of 0x has decreased by 15% coming from 15542 Satoshi to 13222 Satoshi where is currently sitting.
Looking at the daily chart we can see that the price pathway was, as I have projected it would be, in a bearish scenario – the handle pattern is a downward channel and the price fell down to the channel support for a retest.
Zooming into the hourly chart we can clearly see the interaction with the channel support – the price is currently below it and is back to retest it for resistance. We will see if the breakout will happen and the price breaks from the cup and handle on the downside, or will it bounce back into the channel range and continue on as I have projected the pathway.
Market sentiment
Hourly chart technical signal a strong sell.
Oscillators are on sell, and moving averages on a strong one.
Pivot points
S3 0.00010967
S2 0.00012567
S1 0.00013133
P 0.00014167
R1 0.00014733
R2 0.00015767
R3 0.00017367
Conclusion
As the prices of the cryptocurrencies that were covered in this report are still in a downfall with no real support in sight, I conclude that we are in for more downside. We could see a short-term trend reversal if the prices are so low that the potential buyers couldn’t resist not buying. That’s why I believe that this trend continuation will maybe even be another flash crash, which will spike down to new lows that would exceed prior once, which would in the case of Bitcoin be around 5700$.
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